Loan portability is a feature offered on many loans that allow you to move your current mortgage from your existing home, which has sold, to a new property you have purchased.
1) The pros of mortgage portability is, if your current mortgage rates are better than mortgage rates currently offered, you can keep your better rates.
2) Breaking a mortgage early can result in penalties. It is sometimes better to move your mortgage to your new home.
3) It is also possible to extend the amount of your mortgage when you port it. You’ll have a bigger mortgage, but with the rates you started out with.
Mortgage portability is not for everyone. Some lenders do not allow mortgage portability or in some cases porting your mortgage would not be financially beneficial.
Each lender has their own conditions for mortgage portability.
To see if porting is right for you, contact the team at Mortgages of Canada .There is no obligation to apply so call today.